Remove deforestation

Remove commodity-driven deforestation from all supply chains by 2020

The commodities soy, palm oil, beef, timber and pulp are wealth generators that feature in the supply chains of companies across economic sectors. By leading the agenda on how these commodities can be sustainably produced, forward-looking businesses are driving innovation, competitiveness and growth.

Business has the power to alter global demand for the agricultural commodities that are the primary drivers of deforestation and forest degradation. And with deforestation accounting for approximately 15% of the world’s greenhouse gas emissions, the need for action has never been more urgent.

How companies can engage in this initiative

By endorsing this initiative, companies commit to removing commodity-driven deforestation from their supply chains, combating a significant source of emissions and making their supply chains more sustainable and resilient.

Resources

The Business Case

1. Revenue protection

Companies reported to CDP that, on average nearly a quarter of company revenues depend upon the commodities they reported on. The total annual turnover at risk for publicly listed companies is estimated to be up to US$906 billion.

2. Shareholders and customers demand it

Disclosure through CDP’s forests program is another step toward increasing transparency as we execute our policies to establish traceable, responsible supply chains. This is a critical issue for all of our stakeholders, from shareholders to customers, and we are committed to continuing to identify and address supply chain risks.” Ismael Roig, Senior Vice President and Chief Sustainability Officer at ADM.

3. Tackle climate change

As resources are limited, we believe that a stable supply of forest resources exerts a significant impact on business. Physical risk factors emanating from forest resources are various, including temperature and precipitation patterns, and the frequency of occurrence makes forecasting impossible.”Dai Nippon Printing Co. Ltd.

4. Identify opportunities

Companies with board-level responsibility for deforestation risk identify 19% more opportunities than those that do not. And 86% of companies reporting on timber recognize opportunities related to the sustainable production or sourcing of this commodity; 54% have already experienced some.

Coalition Partners

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